Alembic Pharmaceuticals (APLLTD) Q4 24/25 earnings summary

Executive summary

• Q4 FY25 revenue grew 17% year-over-year to INR 1,770 crore (INR 17.70 billion), with EBITDA up 9% to INR 286 crore and net profit at INR 154 crore; net profit margin for Q4 was 8.9%.

• FY25 revenue increased 7% to INR 6,672 crore, EBITDA rose 10% to INR 1,053 crore, and net profit was INR 583 crore, with EPS at INR 29.68.

• Dividend of INR 11 per share (550%) announced for FY25, subject to shareholder approval and unchanged from prior year.

• India Branded Business grew 8% YoY; US Generics up 20% YoY; Ex-US Generics surged 43% YoY; API business grew 4% YoY in Q4.

• Net profit for Q4 FY25 was INR 1.57 billion, down 12% YoY but up 14% QoQ.

Financial highlights

• FY25 total revenue reached INR 66.72 billion, up 7.1% YoY; EBITDA margin improved to 16%.

• Net profit margin for FY25 was 8.74%, down from 9.89% in FY24.

• R&D spend was 9% of sales in Q4 FY25; 29 ANDA filings and 16 launches in FY25.

• Debt-equity ratio at 0.23, with borrowings at INR 1,196 crore and cash in hand of INR 83 crore.

• Capex for FY25 was INR 4.12 billion.

Outlook and guidance

• FY26 guidance targets double-digit growth across key segments, with US business expecting 15+ launches and ROW 40+ launches.

• Maintenance CapEx for FY26 expected at INR 400-450 crore, with no major new projects planned.

• R&D spend guided at INR 600-650 crore for FY26, with 40% focused on complex products and peptides.

• EBITDA margin expected to improve as new facilities reach higher utilization and R&D spend is optimized.

• Operations in Sikkim, previously disrupted by flash floods, fully resumed in February 2024.